Wipro shares rise over 2% on Q4 results, hopes rise for new CEO turnaround

Wipro share price: Shares of Wipro, India's fourth-largest software services exporter, rose on Monday after the company posted better-than-expected fourth-quarter results. The stock price increase comes amidst optimism surrounding new CEO Srinivas Pallia's ability to lead a turnaround.Wipro shares surged by as much as 2.4 per cent on Monday, buoyed by better-than-expected fourth-quarter results. Analysts expressed optimism about the company's future under the leadership of new CEO Srinivas Pallia.As of 10:10 am, Wipro's shares were up 1.8 per cent at Rs 460.60, leading gains on the Nifty IT index (.NIFTYIT), which rose by 0.3 per cent.Despite this uptick, Wipro's stock has faced challenges this year, declining by about 4 per cent. In comparison, larger rivals Tata Consultancy Services (TCS.NS) and Infosys (INFY.NS) have recorded gains of 1.4 per cent and a decline of 8.5 per cent respectively.Wipro's fourth-quarter revenue and profit exceeded estimates, prompting optimism among investors. CEO Srinivas Pallia stressed a growth-oriented strategy, aiming to navigate through challenges such as reduced client spending stemming from high-interest rates, geopolitical risks, and economic uncertainties plaguing the $254 billion IT services industry in India.Analysts are cautiously optimistic about Wipro's future trajectory under Pallia's leadership. Ambit Capital noted that Pallia would need to build upon organisational simplifications undertaken during Thierry Delaporte's tenure and enhance deal wins. Meanwhile, Nirmal Bang Institutional Equities expressed confidence that Pallia could achieve industry-matching or even leading growth within a three-year timeframe.Earlier in the week, Wipro's larger competitors, Infosys and Tata Consultancy Services, reported lower-than-expected fourth-quarter revenue figures.Following Wipro's results, at least nine analysts revised their target price downward, according to LSEG data. Additionally, at least 11 analysts downgraded the stock. The median target price for the "sell"-rated stock has decreased from Rs 455 rupees on March 22 to Rs 445.(With Reuters inputs.)

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Wipro shares rise over 2% on Q4 results, hopes rise for new CEO turnaround

Wipro's fourth-quarter revenue and profit exceeded estimates, prompting optimism among investors.

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